The 1 300 km Lobito Atlantic Railway connecting the Port of Lobito on Angola’s Atlantic coast to the Democratic Republic of Congo (DRC) border to strengthen regional integration and improve access to global markets has secured a $753-million financing package.

The regional infrastructure project will rehabilitate, upgrade and operate the brownfield rail corridor.

The financing package consists of $553-million from development finance institution the US International Development Finance Corporation (DFC) and $200-million from development finance institution the Development Bank of Southern Africa (DBSA).

Multilateral financial institution Africa Finance Corporation (AFC) served as the co-financial adviser for the transaction.

This transformational transport infrastructure initiative is backed by multinational engineering and construction company Mota-Engil, commodities trading and logistics company Trafigura and multinational rail operator Vecturis, which mobilises world-class technical, operational and commercial expertise to ensure the long-term success of the corridor, the AFC says.

In addition to trade and logistics benefits, the project is expected to deliver substantial development impact, including job creation during construction and operation, skills development, improved safety standards and long-term economic opportunities for communities along the corridor.

The financing package is expected to increase Lobito’s transportation capacity ten-fold to about 4.6-million tonnes a year and to reduce the cost of transporting critical minerals by an estimated 30%, the AFC points out.

“The signing of the financing agreements for the Lobito Atlantic Railway demonstrates the strength of AFC’s financial advisory expertise in structuring and advancing complex, cross-border infrastructure transactions of strategic significance,” says AFC president and CEO Samaila Zubairu.

Further, the initiative aligns with the AFC’s broader development efforts to deliver a transformational transport corridor linking Angola, the DRC and the wider Southern Africa region, reinforcing the critical role of integrated rail and port infrastructure in unlocking regional trade, industrial growth and supply-chain resilience.

The Lobito Corridor is also of particular importance for Angola to support its infrastructure development and economic priorities, he adds.

“The signing with DFC, the DBSA and the government of Angola marks the culmination of long-term collaboration, together with our partner, Trafigura, to advance the Lobito Corridor. This strategic agreement will expand transport capacity, reduce transit costs, and open access to the mineral-rich regions of the Democratic Republic of Congo and Zambia”, says Mota-Engil deputy CEO Manuel Mota.

Mota-Engil’s participation underscores its commitment to deliver an infrastructure that supports Angola’s national priorities, economic diversification and regional connectivity.

This strategic financing not only enables further investment in the project but also reinforces confidence in Angola’s institutional capacity to attract interest for world-class infrastructure initiatives, he says.

“The financing secured by Lobito Atlantic Railway from the DFC and the DBSA further advances the rehabilitation and operation of the line in Angola. As a shareholder of the Lobito Atlantic Railway, we see the railway as a key domestic and regional asset that will drive economic development and support the movement of critical metals to global markets,” says Trafigura CEO Richard Holtum.